Hard money lenders are private or nonbank lenders who make short-term, asset-backed loans when traditional lenders won't. They prioritize collateral over credit history, offer fast closings, and charge higher rates and fees.
Construction-to-perm loans combine short-term construction financing with a permanent mortgage. They use draw schedules, interest-only payments during building, and can reference benchmarks like SOFR or the published prime rate. Key choices include single-close vs two-close and when to lock the permanent rate.
A cash-out refinance replaces your mortgage with a larger loan to access equity as cash. It can lower monthly payments, consolidate debt, or fund home improvements - but it raises your loan balance, may have higher rates and closing costs, and has tax and PMI implications.